Last checked at 8 Aug 2013 07:45
8 August 2013
Empyrean Energy PLC
("Empyrean" or the "Company"; Ticker: EME)
Highly positive Q2 2013 update from Marathon Oil Corporation, operator of Empyrean's Sugarloaf Project: Onshore Texas, USA
Empyrean Energy Plc, the AIM-listed condensate and gas exploration and production company focused on the Eagle Ford Shale, Texas, USA, notes that Marathon Oil Corporation (NYSE:MRO) ("Marathon") has released its second quarter 2013 results which include an encouraging update on its operations in the Eagle Ford Shale. Marathon's Eagle Ford acreage includes Empyrean's flagship Sugarloaf AMI project, in which the Company currently has a 3% working interest and a gross 91 producing wells, operated by Marathon.
Marathon's report includes the following information on Marathon's Eagle Ford acreage:
"The Company continues to evaluate the potential of downspacing to 40- and 60-acre units, with results of the downspacing pilots expected to be released in December. It also continues to evaluate the Austin Chalk and Pearsall formations across its acreage position. To date the Company has completed four Austin Chalk wells with average lateral length of 4,075 feet yielding average 24-hour initial production (IP) rates of 980 gross boed (485 bbld of crude oil/condensate, 220 bbld of NGLs and 1.65 million cubic feet per day of natural gas) on chokes ranging from 12/64-inch to 16/64-inch. Early Austin Chalk production results suggest the mix of crude oil/condensate, NGLs and natural gas to be similar to Eagle Ford condensate wells. Also in the second quarter one Pearsall well was completed with a 24-hour IP rate of 580 gross boed on a maximum choke of 18/64-inch."
Commenting on Marathon's announcement, Empyrean CEO Tom Kelly said, "These early stage observations from Marathon are very encouraging and if the Austin Chalk and/or Pearsall formations, from which Marathon is currently evaluating initial production rates prove to be worthy of development across the Sugarloaf AMI then Empyrean is likely to see a positive impact on its reserves and fundamental value. In addition, downspacing could provide a further positive boost to the project and Marathon has already identified additional formations such as the Buda and Wilcox that have exciting additional potential to test in the future. In light of Marathon's update we particularly anticipate receiving the results from the two Austin Chalk wells participated in by Empyrean and which commenced production during July 2013."
Further Information
To view a full copy of the Marathon report, please click here: http://www.marathonoil.com/News/Press_Releases/Press_Release/?id=783280
The information contained in this announcement was completed and reviewed by the Technical Director of Empyrean Energy Plc, Mr Frank Brophy BSc (Hons) who has over 40 years experience as a petroleum geologist.
**ENDS**
For further information please visit www.empyreanenergy.com or contact the following:
Tom Kelly | Empyrean Energy plc | Tel: +618 9480 0111 |
Anita Ghanekar | Shore Capital Stockbrokers Limited | Tel: +44 (0) 207 408 4090 |
Edward Mansfield | Shore Capital Stockbrokers Limited | Tel: +44 (0) 207 408 4050 |
Hugo de Salis | St Brides Media & Finance Ltd | Tel: +44 (0) 20 7236 1177 |
Elisabeth Cowell | St Brides Media & Finance Ltd | Tel: +44 (0) 20 7236 1177 |
Lottie Brocklehurst | St Brides Media & Finance Ltd | Tel: +44 (0) 20 7236 1177 |
Notes to Editors:
Empyrean Energy Plc is an AIM listed (Ticker : EME) condensate and gas exploration and production company focused on the Eagle Ford Shale, Texas, USA. Other assets include a 10% working interest in the Riverbend Project, Texas, just north of the prolific Brookeland Field (Austin Chalk) as well as a 57.2% interest in the Eagle Oil Pool Development Project located in the San Joaquin Basin, southern California.
Empyrean's portfolio includes an interest in over 91 producing wells with scaleable growth potential from further development and exploration upside.